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Elevators working in reverse as Alberta cattle feeders face increasingly desperate feed shortage
Real Agriculture. ^ | January 20, 2022

Posted on 01/22/2022 1:59:34 PM PST by george76

Corn imports into Western Canada from the U.S. have risen dramatically following the 2021 drought, but cattle feeders in Alberta say unpredictable shipments are not keeping up with demand.

In some cases, feedlots say they are scraping together the last of their feed supplies, and are banking on delayed trains still arriving in time to maintain rations.

According to the latest numbers from the USDA, Canadian corn imports in October and November were more than four times higher than the previous year, while there were more than 2.2 million tons in U.S. sales into Canada on the books that were yet to be shipped as of the end of December 2021.

The primary railway involved in supplying southern Alberta corn, CP Rail, says it moved 8,100 carloads of corn from the U.S. into Alberta in 2021, compared with 600 in 2020. The number of carloads of distillers’ dried grains (DDGs) shipped was up more than 300 per cent versus 2020, says CP.

Corn DDGs are also moving into southern Alberta by truck from Montana, off the BNSF railway.

Despite the massive increase in imports, multiple feedlot owners have told RealAgriculture they are in a desperate feed situation due to the delays in rail shipments with no buffer for supply chain interruptions caused by winter weather or COVID-19.

“All things COVID, trucking shortages, a cold snap that slowed trains, plus a complete lack of understanding of how urgent and critical feed grains are by CP Rail, has caused our operation and several others I know to run completely out of grain,” says Leighton Kolk, of Kolk Farms Ltd., at Iron Springs, Alta.

“We have had to make costly and painful adjustments just to keep cattle fed till the next train arrives.”

Of the 10 thousand metric tonnes Kolk Farms ordered for November-December delivery, he says they’ve received 5,400 as of Wednesday. Kolk says their grain bins have run empty on at least four occasions in the past six weeks, while trains arrived “not just days, but weeks later than scheduled.”

The Alberta Cattle Feeders Association estimates over 75 per cent of its members have had corn shipments delayed, and almost 100% have had shipments of distillers’ dried grains delayed and are either out or will soon be out.

“Several larger feedlots have indicated that they will run out of all feed in a few days,” says a recent briefing note from the ACFA. “These feedlots house anywhere from 20,000 to 40,000 head so this is now a serious animal welfare issue.”

“It’s a mess,” notes Kevin Serfas, of Serfas Farms, based at Turin, Alta. “If you only bought exactly what you needed on a week-to-week basis, you are in panic mode right now. I started November 1 and probably have half my orders. I’m not sure what needs to change. Everyone just blames the prior link in the chain.”

That chain includes grain companies, railways and railways, as well as trucking companies.

In some cases, grain handlers, such as Cargill, P&H, Richardson, and Viterra, are essentially trying to run their elevators in reverse. Rather than taking delivery from producers and loading grain onto trains, they are taking delivery of corn by train and transferring it onto trucks to fill sales contracts they’ve signed with cattle feeders — many of which are the same producers who otherwise sell grain to these companies.

RealAgriculture has asked several grain companies to comment on the feed supply challenges and the terms of their contracts with feedlots, however they have not responded, or have declined to comment.

Labour shortages, due to COVID-19 and more, have exacerbated the challenge in some situations, causing delays with loading and unloading trains and trucks. Several feedlots say delays in unloading trains have resulted in the railway putting a lower priority on these shipments. In some cases, they’ve been penalized financially with demurrage fees.

There’s also concern the Canadian and U.S. government’s cross-border vaccination mandates, taking effect January 15 and 22, respectively, are removing a significant number of truck drivers from the road. Several sources told RealAgriculture they’ve also heard of a train being delayed due to crew members not wanting to have to quarantine in Canada.

To put the amount of feed that’s needed in context, ACFA says one rail car — the equivalent of approximately two super B trailers — will feed approximately 8,000 head of cattle for one day. There are approximately 1.5 million head in the province, meaning the industry requires more than a 100 unit train every day to replace the barley and wheat that would normally be sourced closer to home.

Demand for grain is also expected to increase as calves that were put on feed in the fall are starting to require higher energy rations.

The last time cattle feeders in Alberta had to rely on American corn imports via rail to this extent was in 2002, but Kolk says the logistical challenges are “magnified greatly this year (compared with 2002).”


TOPICS: Business/Economy; Canada; Crime/Corruption; Government; News/Current Events; Politics/Elections; US: Illinois; US: Montana; US: North Dakota; US: Wisconsin
KEYWORDS: agriculture; alberta; canada; cattle; cattlefeeders; corn; feed; feedshortage; food; railways; shortage; supply; truckers; trucking; vaccinations
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To: no-to-illegals

You don’t really have much experience feeding cattle, or raising corn, do you?


41 posted on 01/22/2022 4:33:00 PM PST by Mr. Lucky
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To: wintertime

I said that during the Obama years.

Oh yeah, Psaki let slip in the last couple days that this is Obama’s third term, that he’s the man behind the curtain.


42 posted on 01/22/2022 4:51:22 PM PST by FreedomPoster (Islam delenda est)
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To: BiglyCommentary

I doubt if you could sell the cows on that system. Hungry cows are un-bleeping-manageable. They will start by ignoring fences, corrals, etc. They will start searching and will mow down anything chewable they can get to——including the neighbor’s front yard.

As a side note the south side of Chicago used to have the biggest feed yards in the country. As I recall to local geniuses shut down the yards as well as the jobs , to build Midway air field. But can you imagine what those cows, and Mrs, Oleary’s cow, would have done to Chicago if they had gotten hungry? Food for thot?


43 posted on 01/22/2022 5:04:44 PM PST by OldWarBaby
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To: Paladin2

They’re using “distillers’ dried grains “ to feed the cattle also.🤔


44 posted on 01/22/2022 5:16:11 PM PST by BiteYourSelf ( Earth first we'll strip mine the other planets later.)
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To: Rebelbase
As if beef prices were not high already.

Biden-Sign-of-the-Times

45 posted on 01/22/2022 5:22:35 PM PST by AlaskaErik (In time of peace, prepare for war.)
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To: OldWarBaby

“As a side note the south side of Chicago used to have the biggest feed yards in the country.”

I just watched the western Silverado (1870/1880??) and one of the characters said they worked in a feedlot in Chicago.


46 posted on 01/22/2022 5:25:09 PM PST by BiglyCommentary
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To: AlaskaErik

My dad told a story about a lunch spot back in the ‘50s where he could get a Porterhouse and a salad for $1.50.


47 posted on 01/22/2022 5:47:47 PM PST by Rebelbase
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To: wintertime
"This reads like something out of an Ayn Rand novel."

The daily news is starting to sound that way. Who is John Galt?... right before my eyes.

48 posted on 01/22/2022 7:28:30 PM PST by blam
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To: george76; Tilted Irish Kilt; Roman_War_Criminal; Diana in Wisconsin; Pollard; null and void

And it’s all going according to plan.


49 posted on 01/22/2022 7:56:02 PM PST by metmom (...fixing our eyes on Jesus, the Author and Perfecter of our faith….)
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To: no-to-illegals

These asshats hate humans. They want to starve, cancer, COVID or whatever they can do to get the planet down to 500,000,000 people.


50 posted on 01/22/2022 10:22:56 PM PST by wac3rd (Somewhere in Hell, Ted Kennedy snickers....)
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To: metmom; 4everontheRight; 4Liberty; 5thGenTexan; 45semi; 101stAirborneVet; 300winmag; ...
mwtmom :" And it’s all going according to plan."

The great RESET is a plan for lower expectations and lower delivery.
Thank you Klaus Schuab and the WEF.

51 posted on 01/23/2022 10:57:49 AM PST by Tilted Irish Kilt
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To: george76

And Canadian ranchers will sell their starving stock off for pennies on the dollar but grocery stores will double the price. It happened that way when TX had a drought a few years ago. Grocery prices should have reflected the reduced price at auction barns, but they doubled the price and it never went back down to “normal” after the drought and ranchers got their heads of stock back up.

Hmm, or maybe stop the stupid vax crap.


52 posted on 01/23/2022 11:41:38 AM PST by bgill (Which came first, the vax or the virus?)
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To: Veto!

Feedlots don’t have fields.


53 posted on 01/23/2022 11:44:22 AM PST by bgill (Which came first, the vax or the virus?)
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To: george76

I worry for my neighbors. Most of them are conventional farmers, dependent on mass-produced fertilizers, herbicides, pesticides, and feeds.


54 posted on 01/23/2022 12:08:43 PM PST by Ellendra (A single lie on our side does more damage than a thousand lies on their side.)
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To: bgill

Driving down the highway in CA, I could smell the feedlots before I saw them. They were fenced in out in areas surrounded by fields.


55 posted on 01/23/2022 12:24:18 PM PST by Veto! (Political Correctness offends me)
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To: Tilted Irish Kilt

Who you know are not going to be doing without themselves.


56 posted on 01/23/2022 12:26:44 PM PST by metmom (...fixing our eyes on Jesus, the Author and Perfecter of our faith….)
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To: BiglyCommentary

Animals can turn psychotic when they’re hungry. You don’t want to see a feedlot with tens of thousands of half-ton animals when they’re like that!

A better option would be to dilute the feed with more roughage, so the cattle still feel full. The digestive systems of cattle are pretty forgiving in that regard*. You could mix fine-ground sawdust in and it wouldn’t hurt them, as long as it wasn’t from a toxic species of tree like a yew.

They can also eat the chaff left from processing grain, the stalks from corn, I’ve even heard of them being fed shredded newspaper, although I wouldn’t recommend that last one.

(*Unlike, say, horses, whose digestive systems are a delicate balance on the best of days.)


57 posted on 01/23/2022 12:42:53 PM PST by Ellendra (A single lie on our side does more damage than a thousand lies on their side.)
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To: OldWarBaby

bkmk


58 posted on 01/23/2022 12:44:15 PM PST by linMcHlp
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To: Ellendra

Good advice. But you’re right - leave out the newspapers. Colored ink is a no no...


59 posted on 01/23/2022 12:47:45 PM PST by GOPJ (Ukraine's a stunt and it's NOT OUR PROBLEM. America first - protect OUR borders ... )
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To: no-to-illegals

“Ethanol in fuel is more important …. Right ?“

Uninformed comment by a city person you just made.
There is plenty of corn around.
Corn yields have increased dramatically , there is plenty .
This issue sounds like a distribution issue.


60 posted on 01/23/2022 12:48:08 PM PST by HereInTheHeartland (Leave me alone, I have no incriminating evidence on the Clinton's )
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